Money

No Written Employment Contract in Korea — A Fine of Up to 5 Million Won, Even With 4 or Fewer Workers; 500,000 or 300,000 Won per Item for Part-Time and Fixed-Term Staff

“No written contract means a fine” is true in Korea, but the statute is more specific. Article 17 of the Labor Standards Act makes the employer do two things: state the working conditions, and hand the worker a document setting out the core ones. Breach carries a fine of up to 5 million won. For fixed-term and part-time workers a second Act applies on top, with a separate administrative fine for each item left out. This follows the two Acts and the Decree tables as written.

1. It must be written and handed over. A document stating the components, calculation and payment method of wages, contractual working hours, holidays and annual leave must be given to the worker (Labor Standards Act art. 17(2)). An electronic document counts.
2. Breach: a fine of up to 5 million won. It applies to workplaces with 4 or fewer workers too (art. 114; Decree Table 1).
3. Fixed-term and part-time workers: an administrative fine per item. 500,000 won per item for the contract period, wages and hours by working day, and from 300,000 won for the rest (Fixed-term Act Decree, Table 3).

What must be stated, and what must be given in writing — Labor Standards Act art. 17

ItemStated (para. 1)Written copy (para. 2)
WagesYesYes — components, calculation, payment method
Contractual working hoursYesYes
Holidays (art. 55)YesYes
Paid annual leave (art. 60)YesYes
Place of work and dutiesYes (Decree art. 8 item 1)Not in the text
Matters for the rules of employment (Act art. 93 items 1–12)Yes (Decree art. 8 item 2)Not in the text
Dormitory rules (where the worker is lodged)Yes (Decree art. 8 item 3)Not in the text

Paragraph 1 says “shall state”; paragraph 2 says a document stating four of those items “shall be delivered to the worker”. A contract kept only by the company therefore reads as not meeting paragraph 2 (our reading). “Document” includes an electronic document under the Framework Act on Electronic Documents and Transactions. The duty applies not only at the time of contracting but when these matters are changed afterwards; where the change comes from a collective agreement or the rules of employment, the copy is given on the worker’s request (proviso to para. 2).

If it is breached — art. 114

Art. 114 A person falling under any of the following is punished by a fine of up to 5 million won. 1. A person who violates … article 17 … article 67(1) and (3) …

This is a criminal fine, not an administrative one. The person addressed is the “employer” named in article 17. Nothing in these provisions holds the worker responsible for not having signed.

A shop with fewer than 5 workers is covered

The Act applies to workplaces with 5 or more workers, and to those with 4 or fewer only the provisions the Decree selects (art. 11). That list, Table 1 of the Decree, includes article 17 in its Chapter 2 row, and the penalties in Chapter 12 (articles 107 to 116) apply “where an applicable provision is violated”. With a single employee, articles 17 and 114 still apply.

Once more for workers under 18

Article 67(3) separately requires the conditions under article 17 to be stated in writing (electronic documents included) and handed over when contracting with a person under 18, and that too falls under the article 114 fine. A parent or guardian may not make the employment contract on a minor’s behalf (art. 67(1)).

A second Act for fixed-term and part-time workers — Fixed-term Act art. 17

When contracting with a worker on a set term (fixed-term) or on shorter hours than regular workers (part-time), article 17 of the Act on the Protection of Fixed-term and Part-time Workers requires all of the following in writing. Breach is an administrative fine of up to 5 million won (art. 24(2) item 2), with amounts per item in Table 3 of its Decree.

Item to be in writing (art. 17)1st violation2nd · 3rd or more
Item 1: contract period500,000 won1,000,000 · 2,000,000 won
Item 2: working hours and breaks300,000 won600,000 · 1,200,000 won
Item 3: components, calculation and payment of wages500,000 won1,000,000 · 2,000,000 won
Item 4: holidays and leave300,000 won600,000 · 1,200,000 won
Item 5: place of work and duties300,000 won600,000 · 1,200,000 won
Item 6: working days and hours on each day (part-time only)500,000 won1,000,000 · 2,000,000 won

The amounts are “per item”. A part-timer on a set term who is given nothing in writing therefore comes to three items at 500,000 won and three at 300,000 won on a first violation, or 2,400,000 won (our sum, assuming all six are missing). The count looks at fines for the same violation in the last 2 years. The amount may be reduced by up to one half for, among others, a violation through minor carelessness or error, or where the result has been put right (general standards in Table 3).

Only part applies with 4 or fewer workers

This Act too applies only selected provisions to workplaces with 4 or fewer workers, listed in Table 1 of its Decree. Of article 17, item 1, item 2 (breaks only), item 3, item 4 (holidays only) and item 5 are included, along with the fine in article 24(2) item 2. Item 6 (hours by working day) is not on the list.

The two Acts side by side

PointLabor Standards Act art. 17Fixed-term Act art. 17
Contracting withAny workerFixed-term and part-time workers
BreachFine of up to 5 million wonAdministrative fine of up to 5 million won (300,000 to 2,000,000 won per item)
4 or fewer workersAppliesSome items only

How the criminal fine and the administrative fine are handled in practice when both Acts bite on the same worker is not in the text and was not checked.

If reality differs from what was stated — art. 19

Where the conditions stated under article 17 differ from the facts, the worker may claim damages for breach of working conditions and may terminate the contract immediately; the damages claim may be brought to the Labor Relations Commission. So the contract is the employer’s duty and, for the worker, evidence (our view). The employer must keep important documents on the employment contract for 3 years (art. 42).

Checklist — what to look for in the contract you receive

  • ☐ Wages: components, calculation and payment method each written down
  • ☐ Contractual hours, holidays, annual leave
  • ☐ Fixed-term or part-time: contract period, breaks, place and duties, hours on each working day
  • ☐ Your own copy in hand, on paper or as an electronic document
  • ☐ A fresh copy when the terms changed

Questions that remain

Is one needed for probation or a single day’s work?

Article 17 says only “when concluding an employment contract” and makes no exception by duration or type of employment. A one-day job is a contract for a set term, so article 17 of the Fixed-term Act reads as applying as well (our reading).

Is a copy by messenger or email enough?

Article 17(2) includes “an electronic document under article 2 item 1 of the Framework Act on Electronic Documents and Transactions”. Which formats qualify depends on that Act, which we did not read.

Without a written contract, can wages not be claimed?

Article 17 is the employer’s duty to state and deliver; no sentence in these provisions says there is no employment contract without a document. Wages can be pursued separately — check whether the hourly rate meets the minimum with the minimum wage checker.

Places to work through the numbers in a contract — weekly holiday pay and part-time wages in the part-time pay calculator, leave in the annual leave guide, take-home pay in the salary calculator, and the 30 days on dismissal in pay in lieu of notice.

Sources

  • Labor Standards Act [in force 8 October 2026] — original text (checked 8 October 2026). Article 11 (5 workers; 4 or fewer), article 17 (statement; written copy), article 19 (damages; immediate termination), article 42 (3 years), article 67 (under 18) and article 114 (fine of up to 5 million won).
  • Enforcement Decree of the Labor Standards Act [in force 23 October 2025] — original text. Article 8 (conditions to be stated) and Table 1, provisions applying to workplaces with 4 or fewer workers (amended 29 June 2018).
  • Act on the Protection of Fixed-term and Part-time Workers [in force 18 May 2021] — original text. Article 3 (scope), article 17 (six items in writing) and article 24(2) item 2 (administrative fine of up to 5 million won).
  • Enforcement Decree of that Act [in force 8 April 2021] — original text. Table 1 (provisions applying with 4 or fewer workers) and Table 3, standards for fines (500,000, 1,000,000 and 2,000,000 won; 300,000, 600,000 and 1,200,000 won).
  • Not read. The items of article 93 of the Act, the standard contract forms, the requirements for an electronic document, the dual-liability provision (art. 115), and the background to the amendment of article 114 due on 8 December 2026.
  • Our reading and arithmetic. The point about a contract kept only by the company, the 2,400,000 won example, and the reading on one-day work.

Where to check further

  • The regional employment and labor office — reports and advice on working conditions not given in writing. A worker may notify the Minister of Employment and Labor or a labor inspector of a violation of the Fixed-term Act (art. 18).

Written on 8 October 2026. The provisions and amounts follow the original text at the Korea Law Information Center; the tables and arithmetic are ours.